When it comes to online gambling, there is little point in denying the obvious. The online gaming industry generates billions of dollars in revenue each year and attracts millions of gamblers from all over the world. Australian residents have been quick to join the global phenomenon and are now able to enjoy accessible gambling at a plethora of international sites. However both the federal and state governments in Australia have taken a traditionally conservative approach, remaining undecided on how to effectively deal with the online gambling revolution.

Professor Jan McMillan of the Center for Gambling Research recently offered some advice to the Australian government. In an interview with Andrew Geoghegan, McMillan said that instead of opposing online gambling the government should focus on licensing international betting sites to create better safeguards for Australian gamblers. “That’s the big debate,” says McMillan. “Whether we should have [offshore providers] licensed in this country so that Australian standards are provided to protect players.”

McMillan states that a concerted national approach toward online gambling is required. Tasmania’s recent decision to license UK-based sports betting site Betfair has come under criticism from anti-gambling sources at government levels. McMillan cites the current controversy, in particular criticism from the state of Victoria, as echoing the mood surrounding Tasmania’s initial legalization of casinos in the 1970s. However, as additional casinos opened in the Northern Territory, regulation levels improved. “If we had a national approach, it sets the benchmark very high,” says McMillan.

When asked to comment on the link between gambling addiction and the rise in popularity of online gaming, McMillan advises that licensing would help to establish adequate safeguards to protect vulnerable players. “We’ve done several surveys of online gambling punters. There are early signs that problem gambling is emerging with internet gambling. What worries me is that the debate has concentrated on the economic benefits and costs. The big issue for us is the social cost. One of the things I’d very interested in looking at would be to see safeguards protecting players from harm,” McMillan says.

Posted on: November 18, 2005

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